Senate Bill sb2684c1

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    Florida Senate - 2007                           CS for SB 2684

    By the Committee on Community Affairs; and Senator Aronberg





    578-2285-07

  1                      A bill to be entitled

  2         An act relating to state excise tax on casualty

  3         insurance premiums; amending s. 185.03, F.S.;

  4         providing that a municipality that has entered

  5         into an interlocal agreement to provide police

  6         protection services to another incorporated

  7         municipality, in its entirety, may be eligible

  8         to receive the premium taxes reported for the

  9         other municipality under certain circumstances;

10         authorizing the municipality receiving the

11         police protection services to enact an

12         ordinance levying a tax as provided by law;

13         amending s. 185.08, F.S.; authorizing certain

14         municipalities to assess and impose the tax to

15         receive certain police protection services;

16         providing for distribution of premium tax

17         proceeds; providing an effective date.

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19  Be It Enacted by the Legislature of the State of Florida:

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21         Section 1.  Subsection (2) of section 185.03, Florida

22  Statutes, is amended to read:

23         185.03  Municipal police officers' retirement trust

24  funds; creation; applicability of provisions; participation by

25  public safety officers.--For any municipality, chapter plan,

26  local law municipality, or local law plan under this chapter:

27         (2)(a)  The provisions of This chapter applies shall

28  apply only to municipalities organized and established under

29  pursuant to the laws of the state, and does said provisions

30  shall not apply to the unincorporated areas of any county or

31  counties or nor shall the provisions hereof apply to any

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    Florida Senate - 2007                           CS for SB 2684
    578-2285-07




 1  governmental entity whose police officers are eligible to

 2  participate in the Florida Retirement System.

 3         (b)  A municipality that has entered into an interlocal

 4  agreement to provide police protection services to any other

 5  incorporated municipality, in its entirety, for a period of 12

 6  months or more may be eligible to receive the premium taxes

 7  reported for such other municipality. To be eligible for the

 8  premium taxes, the municipality providing the police

 9  protection services must notify the division that it has

10  entered into an interlocal agreement with another

11  municipality. The municipality receiving the police protection

12  services may enact an ordinance levying the tax as provided in

13  s. 185.08. Upon being provided copies of the interlocal

14  agreement and the municipal ordinance levying the tax, the

15  division may distribute any premium taxes reported for the

16  municipality receiving the police protection services to the

17  participating municipality providing the police protection

18  services as long as the interlocal agreement is in effect.

19         Section 2.  Section 185.08, Florida Statutes, is

20  amended to read:

21         185.08  State excise tax on casualty insurance premiums

22  authorized; procedure.--For any municipality, chapter plan,

23  local law municipality, or local law plan under this chapter:

24         (1)  Each incorporated municipality in this state

25  described and classified in s. 185.03, as well as each other

26  city or town of this state which on July 31, 1953, had a

27  lawfully established municipal police officers' retirement

28  trust fund or city fund, by whatever name known, providing

29  pension or relief benefits to police officers as provided

30  under this chapter, may assess and impose on every insurance

31  company, corporation, or other insurer now engaged in or

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    Florida Senate - 2007                           CS for SB 2684
    578-2285-07




 1  carrying on, or who shall hereafter engage in or carry on, the

 2  business of casualty insurance as shown by records of the

 3  Office of Insurance Regulation of the Financial Services

 4  Commission, an excise tax in addition to any lawful license or

 5  excise tax now levied by each of the said municipalities,

 6  respectively, amounting to .85 percent of the gross amount of

 7  receipts of premiums from policyholders on all premiums

 8  collected on casualty insurance policies covering property

 9  within the corporate limits of such municipalities,

10  respectively.

11         (2)  In the case of multiple peril policies with a

12  single premium for both property and casualty coverages in

13  such policies, 30 percent of such premium shall be used as the

14  basis for the .85-percent tax above.

15         (3)  The excise tax shall be payable annually March 1

16  of each year after the passing of an ordinance assessing and

17  imposing the tax herein authorized.  Installments of taxes

18  shall be paid according to the provisions of s.

19  624.5092(2)(a), (b), and (c).

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21  This section also applies to any municipality that has entered

22  into an interlocal agreement to receive police protection

23  services from another municipality under s. 185.03. The excise

24  tax may be levied on all premiums collected on casualty

25  insurance policies covering property located within the

26  corporate limits of the municipality receiving the police

27  protection services, but is available for distribution to the

28  municipality providing the police protection services.

29         Section 3.  This act shall take effect upon becoming a

30  law.

31  

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    Florida Senate - 2007                           CS for SB 2684
    578-2285-07




 1          STATEMENT OF SUBSTANTIAL CHANGES CONTAINED IN
                       COMMITTEE SUBSTITUTE FOR
 2                         Senate Bill 2684

 3                                 

 4  The committee substitute clarifies the authorization for the
    Division of Retirement in the Department of Management
 5  Services to distribute state premium taxes reported for a
    municipality that is receiving police protection services
 6  through an interlocal agreement to the municipality providing
    those services.
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